Closing Day Checklist: What to Expect During the Title Transfer Process

From signing the papers to receiving the keys, a closing day checklist is a helpful tool to guide you through every step of the process.

Buying a home is a major milestone that’s worth celebrating! Knowing what to expect on closing day and being prepared for it can reduce the stress and make the experience more enjoyable. Read on for helpful background information and a detailed closing day checklist that will guide you through this crucial final stage of your real estate transaction.

Closing 101

The final step in purchasing a home typically occurs four to eight weeks after the offer is accepted. On this day, ownership of the property officially transfers from the seller to the buyer. Here’s a brief overview of the process:

• Offer Acceptance: This sets the closing process in motion.
• Pre-Closing:
  • Home Inspections: Assess the condition of the property
  • Appraisal: Ensures the home is valued appropriately for the loan
  • Title search: Confirms the property’s legal ownership and checks for any claims
  • Finalizing financing: Secure mortgage approval and finalize loan details
• Closing Day:
  • Signing documents: Both buyer and seller sign the necessary paperwork (e.g., sale agreement, mortgage documents).
  • Transfer of funds: Money is transferred from escrow to the seller.
  • Title transfer: The deed is updated to reflect the buyer’s name
  • Completion: The transaction is finalized, and the buyer officially becomes the property owner.

Closing Day Checklist for Buyers

To ensure a smooth and successful closing, preparation is essential. Review this checklist so you’re ready for the big day:

1. Review the closing documents.

You should receive your closing documents at least three business days before closing. Take the time to read through them carefully so you understand what you’re signing. Double-check all details, including names, addresses, and numbers, to ensure there are no errors. Make note of any questions or concerns and address them with your agent or attorney before the closing.

2. Check the fees.

Compare your closing disclosure with the most recent loan estimate you received. While some fees may vary slightly, there shouldn’t be any major discrepancies at this stage. Confirm all costs, including title fees, taxes, and any other charges, to avoid surprises.

3. Review seller responsibilities.

Go over your final walk-through checklist to ensure the seller has fulfilled their responsibilities, such as making agreed-upon repairs or leaving the property in the condition promised. If anything isn’t as expected, discuss it with your agent prior to closing.

4. Be payment ready.

Ensure you have the necessary funds for the down payment, closing costs, and any additional fees. This is usually required in the form of a certified check or wire transfer. Confirm the exact amount and delivery method with your lender or closing agent.

5. Bring any required items with you.

The settlement process can vary from state to state, here are some items that are often required:

• Government-issued ID such as a driver’s license, military ID, state-issued ID or passport.
• Certified check or cashier’s check to cover your down payment, closing costs, prepaid interest, taxes and insurance. You may also be able to pay these costs in advance via wire transfer. In this case, you’ll want to bring a receipt for the transfer.
• Proof of homeowners insurance
• A copy of your contract with the seller
• Any additional documentation requested by the bank

6. Ensure all parties who hold title to the property can attend the closing.

State-specific laws may require the spouse of the parties in title, even though their name does not appear on the deed, to sign certain documents when obtaining a mortgage. If anyone with ownership interest is unable to attend the closing, contact your closing agent or attorney in advance to discuss alternative arrangements, such as signing documents via power of attorney or rescheduling the closing.

Real estate closings can be a complex process, but the right preparation helps ensure a smooth and successful transaction. By following this closing day checklist, you can feel confident that you’re ready for the final steps in purchasing your new home.

If you’re planning to buy or sell your home, the experienced professionals at Certified Title are here to help. Let us provide the tools and information you need for a successful real estate transaction. To learn more, please contact our experienced team today.

About Certified Title Corporation: Since 1994, attorney-owned Certified Title Corporation has been furnishing residential and commercial real estate stakeholders across the nation with robust title insurance, settlement, and escrow services. Renowned for its industry-leading reliability and exemplary level of service and quality, the Maryland-based company helps clients from all walks of life achieve their asset goals. To learn more, call (888)486-5511 or visit https://www.certifiedtitlecorp.com/.